As government agencies across the country explore the potential of artificial intelligence (AI), one thing is becoming abundantly clear: the true power of AI starts with data. Whether you're looking to streamline internal processes, improve public services, or enhance decision-making, your success with AI will ultimately depend on how prepared your data systems are.
In the latest short from Tech Trends podcast episode How to Make AI Work for the Public Sector: From Data Swamp to AI-Ready Dillon Peterson, CEO of StandardData, and Jason Friend, CEO of C1 Gov, have considerations for public sector organizations to ensure their data is truly "AI-ready".
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Data: Your Agency’s Most Valuable Asset
It’s easy to get caught up in the promise of AI—automation, efficiency, real-time insights. But here’s the hard truth: if your data infrastructure isn’t ready, you may be years away from realizing AI’s full value.
AI doesn’t work in a vacuum. It needs high-quality, accessible, and organized data to function.
For many agencies, the journey to AI readiness begins not with algorithms, but with a fundamental shift: recognizing that data is no longer a byproduct of operations—it’s a strategic asset.
Government’s Unprecedented Embrace of AI
According to recent insights, no emerging technology has seen faster or more widespread adoption in government than AI. Jason Friend, CEO, C1 Gov remarked that they’ve “never seen government embrace an emerging technology as quickly and as fully.” The interest is real, and the momentum is strong—from local departments to federal agencies.
But enthusiasm alone isn’t enough. Without the right foundation, even the most promising AI initiatives can stall.
The Real Barrier: Data Readiness
While AI capabilities continue to evolve at breakneck speed, many agencies are still dealing with a very analog problem: paper-based records. From handwritten files to siloed legacy systems, the data challenge is often more about format and accessibility than about volume or complexity.
Here’s what’s happening:
- Many records remain un-digitized and inaccessible to AI tools.
- Existing infrastructure lacks the flexibility or interoperability needed to support AI workloads.
- Agencies are under pressure to deliver, but lack a clear roadmap for modernizing their data environments
The Path Forward: Focus on Data First
To move from pilot projects to sustainable AI adoption, agencies need to start with a data-first strategy. That means:
- Digitizing legacy records
- Implementing modern data governance practices
- Building scalable, secure, and interoperable data platforms
- Training staff to work in data-rich, AI-enabled environments
Modernizing data infrastructure and consolidating datasets doesn’t just prepare organizations for AI—it delivers immediate value through reduced compute and storage costs, faster data access and searchability, and simpler, more efficient workflows that improve operational impact from day one.
"Even if an organization isn't interested in AI yet, the data infrastructure modernization is likely to solve some of their near-term data problems as well as preparing them for the inevitable use of AI." -- Dillon Peterson, CEO, StandardData
Final Thoughts for Government Leaders
AI can be a game-changer for government but only if your agency’s data is up to the task. Before investing heavily in AI solutions, take a close look at your data landscape. Are you ready?
If not, it’s time to start there. In today’s public sector, the agencies that treat data as a strategic asset will be the ones who truly lead the AI transformation.
